The installed power generating capacity in the GCC is forecast to reach 170,000MW by 2019, according to the latest data. The cost of the new build-requirement alone will be an estimated $66bn, with at least the same amount needed to be invested in transmission and distribution (T&D) infrastructure in the next six years.
Rising oil and gas prices combined with increasing domestic power requirements are prompting governments across the GCC, including Qatar, to increase investments in power and water sector, as well as secure alternative sources of energy. Qatar alone boasts to have 35 projects (worth $1.8bn) in power and water sector, a press statement said.
Confronted with such a massive demand, governments across the GCC are now pouring money into power and water projects with investments reaching $25bn last year.
In 2012, Saudi Arabia led the GCC with a total of 148 projects in the power and water sector, investing more than $8bn; Kuwait followed with 68, valued at close $3bn. The United Arab Emirates is next with 62 projects, worth a little more than $3bn, while Oman has 49 projects worth $1.2bn. Although Bahrain has only 15 projects, the total value of investment is estimated at $7.3bn.
The increased investments in the power and water sector create new opportunities for contractors and project developers.
The Peninsula
28 January
